Pay Matters

It comes as no surprise that when the Government of Singapore, currently ruled by the People’s Action Party, announced that they intend to raise Ministers’ pay by another astronomical figure, it caused a wave of uproar among many rational citizens.

I don’t intend to reiterate the discussions and reports that have raged across the Internet over the past couple of weeks. For those who are interested, here are some of the links:

• Singapore announces 60 percent pay raise for ministers
• Singapore ministers set for million-dollar pay hike
• Million-dollar pay raises dominate parliament
• Impending Million-$ Pay Hike Mentioned in Foreign Press
• Yawning Bread – Singapore government promotes obscenity.

My personal opinions on the ministers’ pay hike are these:

1. It comes at an insensitive time when the government has just announced the increase in GST to 7%. Here you are taking money away from individuals and businesses, while on the other hand, the money seems to go towards funding the individual pockets of ministers.
2. Painting a picture by saying “your jobs will be in peril, your security will be at risk and our women will become maids in other people’s countries”, is an extrememly insensitive gesture towards the people of countries that are poorer. Our Ministers are already overpaid – the citizens are not suggesting reducing their salaries to those of ministers in other countries, but how much more is enough?
3. MM Lee started this system of pegging salaries of government ministers and top civil servants to the money they might earn at the top of the private sector. The high salary is supposed to attract the best talents, based on the assumption that these people can earn similar amounts if they are in the private sector. But is that the truth? Can these people really command that level of income in the unforgiving business environment? Not to forget that the top CEOs have well-defined results to show for their achievements – is a general increase in GDP or fuzzy figures of economic growth the benchmarks to justify our ministers’ performance?
4. If people in the public service are staying there only because they get to earn top-class salaries, should we not be worried about the values of these people? Do we really want these people managing our country? If money is what they want, without any hint of wishing to help the country, then perhaps it is best that these people earn their living in the private sector instead. Yes, we are living in the real materialistic world today, but my vote will go to someone who has a bigger heart and compassion, perhaps with less capabilities, rather than money-driven elites.
5. Conversely, are we saying that Bill Gates has the capability to run a nation simply because he commands that high level of salary in the private sector? Maybe not, because we know there are other qualities we should look for in leaders of our country. Simply put, our system is wrong to peg salaries in comparison to the private sector.
6. We have already gotten a hint of how bad decisions can be made by government-owned Temasek Holdings in the Shin Corp deal. We all know how that turned out. Will a successful entreprenuer make the same mistake?

Although the “Bill” has already been passed, people may show their displeasures even more by signing the online petition.

I hope when time comes again in a couple of years, the citizens of Singapore will be able to recall and question what really matters, and see the real big picture:

1. Increase of GST to 7% was announced after the elections.
2. Ministers pay increase was announced after the elections.
3. How much collective expenses have the citizens forked out due to the 7% GST? (More to come I presume). Has the actual disposable income of the average citizen gone up or down?
4. Has the lives of Singaporeans improved over the years thus justifying the increase in pay of Ministers? Were there any specific goals set 5 years ago as benchmarks, and have they been attempted or achieved? How are we addressing the issue of income disparities?
5. Are these really the best talents that our citizens’ money can buy to manage our country for us? Or are they just money-grabbing individuals, who are just good enough at what they do, who put their own needs before the needs of the citizens they serve? (this question is a result of how I see our government now – a profit-making corporation, as a result of how they run the country)
6. What are the real issues that we should be addressing, rather than the beaten-to-death-carrot of lift upgrading? (I still can’t believe James Gomez and lift upgrades were the highlights of our “oh-so-unpredictably-exciting” General Elections).
7. Constituencies run by non-PAP (otherwise mis-termed as opposition wards, “opposition” only in the eyes of the PAP) should get the same allocation of resouces (funding) as PAP-run constituencies, simply based on the fact that citizens are paying their taxes and contributing to the country regardless of which constituency they live or who they choose to represent them in Parliament.